Complete Guide to Managed IT Services: Pricing Models
Understanding managed IT services pricing models will help you choose IT solutions that support your business’s future growth and improve your team’s productivity. Whether you run a bustling e-commerce platform, a dynamic creative agency, or a fast-paced law firm, the best IT support will protect your critical data while ensuring your day-to-day operations run smoothly.
Overview of Managed IT Service Pricing Models
From per-user rates to flat fee solutions, each managed IT pricing model offers unique benefits suited for specific operational scales and needs. A startup in the tech industry, a mid-size accounting firm, or a large retail enterprise may each benefit from different pricing models based on the size of their business, their long-term objectives, and their individual financial strategy.
Pricing Model
Description
Best For
Per User
This model charges a set fee for each user that has access to IT services each month. It typically covers support for all user-related devices and software under a single fee, making it ideal for businesses with well-defined user roles.
Businesses with a stable number of employees who use IT resources regularly, making cost predictable and consistent.
Per Device
Pricing is based on each piece of hardware that is managed, such as workstations, servers, and mobile devices. This model often differentiates between types of devices, charging more for servers than for user endpoints like laptops.
Suitable for environments with a high number of devices per user or where devices outnumber human users, such as labs or digital kiosks.
Flat Fee
A comprehensive model where a fixed monthly or yearly fee covers all managed IT services agreed upon in the contract. This can include on-site and remote support, cybersecurity, network management, and cloud services.
Ideal for businesses seeking comprehensive IT management without surprises in billing, ensuring budget consistency across financial cycles.
À La Carte
Clients select specific IT services they need, paying only for those selections. This can include anything from cybersecurity measures to data backup and recovery services, providing flexibility in choosing the services your business needs most.
Organizations that require highly specific IT services not usually bundled together, or those needing to tightly control IT spending due to budget constraints.
Pros and Cons of Different Managed IT Service Pricing Models
Below is an in-depth evaluation of the benefits and potential pitfalls of each managed IT pricing model to help you determine which model will best support your business’s unique challenges and goals.
Pricing Model
Pros
Cons
Per User
Predictable costs, easy to budget.
Comprehensive coverage for each user, which simplifies support and logistics.
Can become costly if many employees have minimal IT needs.
Costs increase directly with additional users, which may not be scalable for rapid growth.
Per Device
Cost-effective for environments with shared devices.
Flexibility in managing costs based on active devices.
Managing costs can be complex with fluctuating device counts.
Potential for higher costs with an increasing number of devices.
Flat Fee
Simplifies budgeting with predictable monthly or annual costs.
Often includes a broad range of services, providing thorough IT management.
Packages may come with more services than you need, inflating the end cost.
Less flexibility to adjust services based on actual usage, which might be restrictive.
À La Carte
High customizability to choose exactly the services needed.
Costs can be tightly controlled by selecting only necessary services, allowing for precise budget management.
Individual services may be more expensive than bundled pricing.
Requires more active management to evaluate and monitor service needs, which adds to administrative overhead.
What Services to Expect at Different Pricing Levels
Managed IT services offer a range of support options tailored to different business needs and budgets. Understanding these levels helps businesses determine which managed IT service package best suits their operational requirements and financial capacity. Below is an overview of what services can typically be expected at different pricing levels, from basic to premium options.
Note: The pricing examples below are for an organization with 30-40 users and two servers. Managed IT pricing depends significantly on the size and scale of your business, so your estimated IT costs may be higher or lower than these examples.
Regular checks on systems to ensure they are running smoothly, including software updates and patch management.
Help Desk Support
Access to a help desk for troubleshooting common IT issues, often during business hours only.
Antivirus and Anti-malware Protection
Basic security measures to protect systems from common threats.
Best for: Small businesses or startups with limited IT requirements or those looking for minimal support to keep essential systems running.
Mid-Level Services
Average Monthly Cost: $4500 – 5500
Services Included
Enhanced Monitoring and Maintenance
More comprehensive monitoring that includes early detection of potential issues before they become critical.
Remote Support and On-Site Assistance
In addition to remote support, this level may include occasional on-site visits for more complex issues or system setups.
Backup and Disaster Recovery
Basic backup solutions and disaster recovery services to protect data in case of hardware failure or other disruptions.
Cybersecurity Services
More advanced security protocols, including firewalls and intrusion detection systems.
Best for: Growing small- to medium-sized businesses that need more extensive support to prevent downtime and protect data, but do not require full-scale IT management.
High-End or Premium Services
Average Monthly Cost: $6000+
Services Included
Proactive IT Management
Complete management of all IT needs, with a proactive approach to maintenance, security, and technology improvements.
24/7 Support and Monitoring
Round-the-clock monitoring and support to address issues immediately, day or night.
Advanced Cybersecurity Measures
Advanced measures such as regular security audits, compliance checks, and advanced threat protection.
Strategic IT Consulting
Regular consultation on IT strategy to align technology with business goals, including future tech planning and investments.
Customized Cloud Solutions
Development and management of cloud infrastructure tailored to specific business needs.
Best for: Larger businesses or those in industries where IT is critical to operations, such as tech companies, financial services, or healthcare organizations that require robust IT support to maximize efficiency and ensure regulatory compliance.
Custom or À La Carte Services
Average Monthly Cost: Varies widely depending on the services chosen
Services Included
Selectable Services
Businesses can choose specific services like cloud management, advanced cybersecurity, specific compliance support, or any other IT service needed without committing to a full package.
Flexible Pricing
Pay only for the services selected, which can be scaled up or down as needed without the constraints of a package deal.
Best for: Businesses with very specific needs or those looking to supplement existing IT resources with targeted support in areas like security, data management, or special compliance requirements.
Why Scalability Is Important for Managed IT Services
Scalability in managed IT services is a critical factor for small businesses due to its direct impact on their ability to grow, adapt, and remain competitive. Here is why you should look for an IT provider that emphasizes the scalability of their services:
Cost-Effective Growth Management
Scalability allows businesses to adjust their IT resources based on current needs without overcommitting financially, ensuring they pay only for what they require at each stage of their growth.
Adaptability to Market Changes
Flexible IT services enable businesses to quickly adapt to changing market demands and operational requirements, so growth is never constrained by IT capabilities.
Enhanced Security Support
As your business grows, scalable IT services can include upgraded security measures, integrating new technologies as needed to safeguard the business in real-time.
Focus on Core Business Goals
When your IT infrastructure can grow with your business, you can focus on core business strategies and long-term objectives without worrying about IT limitations.
How Tardigrade Technology Can Help
Our team at Tardigrade Technology is dedicated to providing dependable, tailored IT services that fit both your business goals and your budget. Our scalable, effective solutions work for businesses large and small, from prestigious financial firms to nonprofit organizations. Drawing inspiration from the resilient tardigrade, our goal is to help your business thrive through any challenge you encounter.
Complete Guide to Managed IT Services: Pricing Models
Understanding managed IT services pricing models will help you choose IT solutions that support your business’s future growth and improve your team’s productivity. Whether you run a bustling e-commerce platform, a dynamic creative agency, or a fast-paced law firm, the best IT support will protect your critical data while ensuring your day-to-day operations run smoothly.
Overview of Managed IT Service Pricing Models
From per-user rates to flat fee solutions, each managed IT pricing model offers unique benefits suited for specific operational scales and needs. A startup in the tech industry, a mid-size accounting firm, or a large retail enterprise may each benefit from different pricing models based on the size of their business, their long-term objectives, and their individual financial strategy.
Pros and Cons of Different Managed IT Service Pricing Models
Below is an in-depth evaluation of the benefits and potential pitfalls of each managed IT pricing model to help you determine which model will best support your business’s unique challenges and goals.
What Services to Expect at Different Pricing Levels
Managed IT services offer a range of support options tailored to different business needs and budgets. Understanding these levels helps businesses determine which managed IT service package best suits their operational requirements and financial capacity. Below is an overview of what services can typically be expected at different pricing levels, from basic to premium options.
Note: The pricing examples below are for an organization with 30-40 users and two servers. Managed IT pricing depends significantly on the size and scale of your business, so your estimated IT costs may be higher or lower than these examples.
For a more accurate estimate based on your specific needs, set up a free consultation with us today and we will map out the perfect IT plan for your business.
Basic or Low-Cost Services
Average Monthly Cost: $3000 – 4000
Mid-Level Services
Average Monthly Cost: $4500 – 5500
High-End or Premium Services
Average Monthly Cost: $6000+
Custom or À La Carte Services
Average Monthly Cost: Varies widely depending on the services chosen
Why Scalability Is Important for Managed IT Services
Scalability in managed IT services is a critical factor for small businesses due to its direct impact on their ability to grow, adapt, and remain competitive. Here is why you should look for an IT provider that emphasizes the scalability of their services:
Cost-Effective Growth Management
Scalability allows businesses to adjust their IT resources based on current needs without overcommitting financially, ensuring they pay only for what they require at each stage of their growth.
Adaptability to Market Changes
Flexible IT services enable businesses to quickly adapt to changing market demands and operational requirements, so growth is never constrained by IT capabilities.
Enhanced Security Support
As your business grows, scalable IT services can include upgraded security measures, integrating new technologies as needed to safeguard the business in real-time.
Focus on Core Business Goals
When your IT infrastructure can grow with your business, you can focus on core business strategies and long-term objectives without worrying about IT limitations.
How Tardigrade Technology Can Help
Our team at Tardigrade Technology is dedicated to providing dependable, tailored IT services that fit both your business goals and your budget. Our scalable, effective solutions work for businesses large and small, from prestigious financial firms to nonprofit organizations. Drawing inspiration from the resilient tardigrade, our goal is to help your business thrive through any challenge you encounter.
Contact us to set up a free consultation today so we can craft an IT service plan that not only supports your business operations today, but will growth with you in the future.